ATP Oil & Gas Receives Approval for UK Development at Tors

ATP Oil & Gas and its wholly owned subsidiary, ATP Oil & Gas (UK) Limited, announced that the Secretary of State for Trade and Industry (DTI) has issued approval for the field development plan of the Tors fields (Garrow and Kilmar) in the Southern Gas Basin of the UK North Sea. Coupled with other recently obtained permits, ATP Oil & Gas (UK) Limited is now cleared for and has now commenced on-site development at Tors. ATP Oil & Gas (UK) Limited has a 100% interest in the Tors fields and is the sole development and production operator.

Development plans for 2005 at Tors include installation of the Kilmar platform. A contract has recently been awarded for the installation of the pipelines for both Kilmar and Garrow which should begin later this month. The ENSCO 70 rig is under contract and is scheduled to be on location before the end of the third quarter to begin recompleting two wells and the drilling of a third well.

First production at Kilmar is expected early in 2006 with the possibility of production from the first well very late in 2005. Two wells at Garrow are currently scheduled for 2006 development with production late in 2006. Commenting on the announcement T. Paul Bulmahn, Chairman and President of ATP, said, "This marks a significant milestone for ATP's aggressive development of North Sea properties. We are pleased that the DTI has provided full support and encouragement in moving forward the development of mature North Sea fields in the UK Sector. They have provided a positive outlook for the oil and gas industry."
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